We introduce a new multiplication in the incidence algebra of a partially ordered set and study the resulting algebra. As an application of the properties of this algebra we obtain a combinatorial formula for the Kazhdan–Lusztig–Stanley functions of a poset. As special cases this yields new combinatorial formulas for the parabolic and inverse parabolic Kazhdan–Lusztig polynomials, for the generalized (toric) h-vector of an Eulerian poset and for the Lusztig–Vogan polynomials.
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